RECENT RULINGS

The Federal Arbitration Act declares that arbitration clauses in written contracts are “”valid, irrevocable, and enforceable, save upon such grounds as exist at law or in equity for the revocation of any contract…” 9 U.S.C. Sec. 2. The Act has been construed to make “arbitration/delegation” clauses, where the parties agree that issues over arbitrability itself will also be decided by arbitration. Arbitrators’ decisions are not appealable, but they may be set aside on certain, very narrow grounds by courts-of-law.

In Coinbase v. Suski, decided on May 23, 2024, the Court ruled that an “arbitration/delegation” clause in a written contract may be superseded or nullified in a subsequent contract between the same parties,  and when that issue is raised in a lawsuit between the parties, the court having jurisdiction over the lawsuit, and not an arbitrator, resolves the issue.  

Dan Rhea